Premium of a policy is calculated on the basis of……
A)Income of the insured
B)Agent's report
C)Risk associated with the policy
D)None of the above

Question

Quizplus · Accepted Answer

The premium of a policy is primarily calculated based on the risk associated with the policy. This involves assessing the likelihood of the insured event occurring and the potential cost of claims. Factors such as the insured's health, occupation, lifestyle, and the coverage amount are considered to evaluate the risk level.

Premium of a Policy Is Calculated on the Basis Of……